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Tallahassee metro area's foreclosure rate declines in May

Dave Hodges, Tallahassee Democrat 2:54 p.m. EDT July 22, 2014

Florida had 17,105 closed single-family home sales in June, of which 4,703 or 27.5 percent were foreclosed or bank-owned properties and 1,373 or 8.0 percent were classified as short sales.(Photo: Lynne Sladky/AP)

The foreclosure rate in the Tallahassee market area dropped in May compared to the same period last year, according to data released Tuesday by real estate researcher CoreLogic.

CoreLogic said its data shows that the rate of Tallahassee area foreclosures among outstanding mortgage loans was 3.17 percent for the month of May, down 2.11 percentage points compared to May 2013 when the rate was 5.28 percent

The rate, which has been declining steadily for more than a year, reflects a market area consisting of Leon, Gadsden, Wakulla and Jefferson counties.

The April rate was 3.25 percent.

Foreclosure activity in Tallahassee was higher than the national rate, which was 1.73 percent for May. The statewide foreclosure rate for Florida was 5.22 percent.

Analysts point to the foreclosure rate's decline as more evidence of residential real estate markets recovering as the economy continues its gradual improvement.

CoreLogic said its calculation reflects the percentage of total mortgage loans in some stage of the foreclosure process. The research firm also tracks the delinquency rate — the percentage of all mortgage loans that are more than 90 days past due.

According to May data, 6.54 percent of mortgage loans in the Tallahassee market were 90 days or more delinquent, compared to 8.14 percent for the same period last year.

According to the latest figures out today from the trade association Florida Realtors, the state had 17,105 closed single-family home sales in June, of which 4,703 or 27.5 percent were foreclosed or bank-owned properties and 1,373 or 8.0 percent were classified as short sales. Total sales of distressed properties accounted for 35.5 percent of total single-family homes sold in Florida that month, down from 43.5 percent a year ago.